Orange Health Labs sees quality diagnostic at speed as `prescription' for success, eyes expansion

New Delhi, Oct 22 (PTI) More than 1,800 labs in Bengaluru, many tech platforms but patients still looking for quality and quick diagnosis across a range of tests. That is the critical gap health tech startup Orange Health Labs sought to fill when it started in 2021 in the middle of the pandemic.

Over three years later, co-founders Dhruv Gupta and Tarun Bhambra have spread out from Bengaluru to Hyderabad, Mumbai and all of Delhi-NCR (Gurgaon, Noida, Delhi, Ghaziabad, Faridabad), and are now looking to expand to 15. Today, the diagnostic chain offers customers the convenience of 60-minute at-home sample collection and six-hour report delivery.

Combining speed and quality, the startup is redefining the diagnostic industry by delivering high-quality services swiftly and sustainably at prices accessible to consumers -- a feat that is challenging for others to replicate, they said.

Despite the presence of thousands of labs, the convenience and professional service that modern consumers expected were sadly lacking, the co-founders recalled. In fact, Gupta encountered the situation first-hand when a family member fell sick and was in dire need of dependable and urgent diagnostics tests.

"Despite the presence of 1,800 labs in Bangalore and numerous tech-enabled platforms, none of them could offer the convenience we needed," Gupta told PTI.

Gupta and Bhambra had noted the gap in the diagnostics market early on and were confident about the rise of on-demand services in India in years to come.

"Since launching in January 2021 amidst the COVID-19 pandemic, Orange Health has rapidly evolved from a concept into a leading diagnostic provider in India's major metropolitan areas. In Bangalore, we quickly became one of the foremost private COVID-19 testing facilities and have since expanded our operations to NCR, Hyderabad, and Mumbai," Gupta said.

Orange Health Labs has served over one million patients till date, and the core team has grown to over 1,000 members from just 10.

Since 2021, Orange Health has cemented its position by delivering fast, reliable diagnostics with unwavering focus on quality. In the last two years, it has clocked over 100 per cent year-on-year revenue growth, reaching a revenue run rate of Rs 100 crore as of September 2024.

The fundraising journey has been integral to its growth, backed by strong support from leading investors who share the founders' vision for transforming the diagnostics industry.

"In our early stages, we received seed funding from Y Combinator, one of the world's most prominent early-stage investors known for backing companies like Airbnb and Stripe globally, and Razorpay, Meesho, and Groww in India. Subsequently, in our pre-Series A round, we were supported by Global Village and Good Capital," said Bhambra.

Orange Health raised USD 7 million in `Series A' funding round, led by Accel, a key investor in companies like Swiggy and Flipkart. The `Series B' saw USD 25 million capital-raise, co-led by renowned global funds General Catalyst and Bertelsmann India Investments.

In all, Orange Health raised USD 35 million, which fuelled its ambition as well as its ability to scale.

According to Anand Daniel, partner at Accel, Orange Health’s approach addresses a critical need for timely diagnostics, empowering patients and healthcare professionals to take early action.

“Having served over a million patients to date, they are setting new benchmarks for care and redefining what is expected from a diagnostics provider. Our investment is a testament to our belief in co-founders Tarun and Dhruv's vision and approach, as well as our confidence in the growth prospects of India's diagnostics market," he said. Orange Health harnesses advanced technology to provide a seamless experience -- from the moment of booking to receiving results -- ensuring the process is smooth, efficient, and centred around our customers' needs.

Accessibility and reliability remain key focus areas. It offers at-home sample collection within 60 minutes, extending services as late as 10 pm in the cities they operate in, the only lab to do so.

"In terms of responsiveness, we lead the industry by delivering reports within six hours for a comprehensive range of tests- not just wellness screenings- an industry first. This approach, coupled with our highly professional paramedic team focused solely on medical care rather than selling tests, has earned us significant customer appreciation and loyalty," said Gupta.

He underlined Orange Health's commitment to 3Rs - being reachable, reliable, and responsive. Along the way, the company has achieved many milestones and pioneered several innovations.

"We pioneered the concept of eMedics, specially trained professionals who provide a world-class testing experience, ensuring patients feel at ease and in competent hands. As the first to offer a career ladder for phlebotomists, we bring much-needed respect and growth opportunities to this vital profession.

“Our proprietary logistics system enables us to return samples to our lab within 150 minutes from anywhere in the city, ensuring we test the freshest samples-a claim validated by independent surveys rating our speed as best in class," Gupta said. Orange Health has innovated lab processes by adopting continuous flow testing instead of the industry's standard batching method. It utilises in-house IT systems integrated with its equipment for real-time tracking and immediate testing. "We were the first to leverage live digital scanning for extended reporting hours in haematology, serology, and clinical pathology, enhancing doctor efficiency and patient care. Consequently, we can provide confirmed results for critical tests like dengue and platelet counts even when samples are collected as late as 10 pm.

“These integrated innovations create a highly efficient, customer-centric model that's challenging for others to replicate due to the seamless blend of expertise, infrastructure, and technology we've uniquely achieved," Gupta said.

Orange Health's future plans focus on enhancing both reachability and responsiveness to better serve its customers.

"To expand accessibility, we have begun establishing retail collection points in Bangalore, receiving encouraging responses from our initial outlets. Over the next three years, we aim to extend our presence to the top 15 cities across India, bringing the same level of convenience and speed to more locations," said Bhambra.

Orange Health is also working on reducing its response time further.

"We have launched a pilot programme in Bangalore offering 30-minute time slots, effectively halving our previous response time. We remain committed to continuous innovation to enhance our service speed in the near future. Additionally, we are expanding our range of advanced tests through our national reference laboratory," Bhambra said.

It has recently introduced maternal markers on the 'AutoDELFIA' platform, considered the gold standard for prenatal testing.

The company intends to form strategic partnerships to incorporate high-end markers, including allergy testing and genome sequencing into its offerings in the coming months.